PARIS — London-based private equity firm Change Capital Partners has taken a 70 percent stake in French fashion brand Paule Ka for an undisclosed sum in order to accelerate the brand’s international expansion.
This story first appeared in the July 19, 2011 issue of WWD. Subscribe Today.
The Cajfinger family, founders of the brand, sold the company to Change Capital and have reinvested a portion of the proceeds, giving them a stake of about 30 percent. FCPR Patrimoine et Création, managed by CDC Entreprises, sold the minority stake it owned in the firm.
Serge Cajfinger will remain creative designer and president, and Antoine Bing stays as deputy managing director.
“The growth plan for the business will extend Paule Ka’s position in the affordable luxury space internationally, responding to the continued demand for the brand by opening new stores, and building upon the strong wholesale positions in key European countries and other markets to realize the business’s full international potential,” the companies said.
Paule Ka retails in 414 points of sale worldwide, including its own stores, franchises, department store corners and multibrand retailers. It is set to report sales of 40 million euros, or $56.6 million at current exchange rates, for the year ending July 2011, up 17 percent year-on-year.
Change Capital also owns German women’s wear brand Hallhuber, and has previously held stakes in Jil Sander and U.K. denim and sportswear retailer Republic.